NextBillion - An Initiative of the William Davidson Institute at the University of Michigan

Wednesday, January 3, 2018

As we are about to part ways with 2017, the year has pretty much offered what everyone expected, maybe much more than that. In the wake of demonetisation late last year, the country was literally standing in the middle of a financial flux, leaving customers stranded without cash and businesses without capital. But, India successfully managed to deliver despite this overwhelming hiccup.

The credit largely goes to an army of fintech startups that were relentlessly at play in the background. Even as the financial pressure consolidated earlier this year, the fintech sector was there to ensure that businesses don’t crumble under it by extending a steady supply of capital to SME businesses. The change in the tax regime was also another milestone and engraved the role of the fintech sector more prominently in the new India that’s coming to fore.

The year has pretty much offered what everyone expected. It has cemented the significance of the fintech sector in India. From increased momentum behind digital payments to product innovation in digital loan disbursement platforms, the entire sector is leaving no stone unturned to ensure that the nation functions the way it does and achieves the two-digit growth rate that it has persistently been longing for.